Should net wealth and property taxation be introduced in the United Kingdom?
(2013) HARN60 20131Department of Business Law
- Abstract
- The paper analyses whether net wealth and property taxation would be a more desirable alternative to other forms of wealth transfer taxation applied in the current tax system of the United Kingdom. It firstly discusses key features of desirable tax system and then methodically applies each form of the taxation towards this framework. Special attention is given to horizontal and vertical equality of the system; efficiency; administration and compliance costs; and finally potential for tax avoidance. This research concludes that net wealth tax is not as ideal form of taxation as it is perceived by its supporters. While there are credible rationales for its introduction, its negative aspects are undeniable and in the opinion of the author... (More)
- The paper analyses whether net wealth and property taxation would be a more desirable alternative to other forms of wealth transfer taxation applied in the current tax system of the United Kingdom. It firstly discusses key features of desirable tax system and then methodically applies each form of the taxation towards this framework. Special attention is given to horizontal and vertical equality of the system; efficiency; administration and compliance costs; and finally potential for tax avoidance. This research concludes that net wealth tax is not as ideal form of taxation as it is perceived by its supporters. While there are credible rationales for its introduction, its negative aspects are undeniable and in the opinion of the author prevail over positives. Rather surprisingly, the author has also established that current forms of wealth transfer taxes shall be abolished even though it might cause a marginal windfall loss of tax revenue. The outcome of property tax analysis is slightly more ambiguous. Still, its introduction which would be a substitution or mere addition to highly criticised Council tax is not suggested. The author on the other hand proposed to merge positive factors of these two forms of taxation and also to tax land separately. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/3800434
- author
- Kravec, Maros LU
- supervisor
-
- Cécile Brokelind LU
- Åsa Hansson LU
- organization
- course
- HARN60 20131
- year
- 2013
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Tax, Tax design, Optimal taxation, Wealth Tax, Property Tax, Public Finance, tax system, wealth distribution, equality, efficiency, tax avoidance, wealth transfer
- language
- English
- id
- 3800434
- date added to LUP
- 2014-01-27 10:22:10
- date last changed
- 2014-01-27 10:22:10
@misc{3800434, abstract = {{The paper analyses whether net wealth and property taxation would be a more desirable alternative to other forms of wealth transfer taxation applied in the current tax system of the United Kingdom. It firstly discusses key features of desirable tax system and then methodically applies each form of the taxation towards this framework. Special attention is given to horizontal and vertical equality of the system; efficiency; administration and compliance costs; and finally potential for tax avoidance. This research concludes that net wealth tax is not as ideal form of taxation as it is perceived by its supporters. While there are credible rationales for its introduction, its negative aspects are undeniable and in the opinion of the author prevail over positives. Rather surprisingly, the author has also established that current forms of wealth transfer taxes shall be abolished even though it might cause a marginal windfall loss of tax revenue. The outcome of property tax analysis is slightly more ambiguous. Still, its introduction which would be a substitution or mere addition to highly criticised Council tax is not suggested. The author on the other hand proposed to merge positive factors of these two forms of taxation and also to tax land separately.}}, author = {{Kravec, Maros}}, language = {{eng}}, note = {{Student Paper}}, title = {{Should net wealth and property taxation be introduced in the United Kingdom?}}, year = {{2013}}, }